SAS continues growth with 2016 revenue of US$3.2 billion
Growth was fueled by analytics platform, cloud, and fraud and security intelligence solutions
CARY, N.C., Jan. 25, 2017 /PRNewswire/ -- SAS had much to celebrate in 2016. The analytics leader commemorated its 40th anniversary, expanded operations globally and continued to achieve revenue growth and profitability, posting US$3.2 billion in total revenue. That's up 4 percent in constant currency (1.3 percent USD) over 2015. New software sales increased 9 percent in constant currency (7 percent USD), signaling continued demand for SAS® Analytics solutions.
"We aim to help every customer turn analytic insights into value," said SAS CEO Jim Goodnight. "We do so by adapting to changing markets, working with disruptive technologies, and remaining relentlessly committed to innovation. This has allowed us to remain a leader across core markets while providing innovative solutions to our customers' most challenging business problems."
Global growth
Revenues grew worldwide in all geographic regions. Asia Pacific and Latin America saw the highest growth as customers in those regions adopted more strategic uses of analytics. All regions grew revenue in SAS core technologies, including data management, analytics and business intelligence. By industry, banking, government and health care/life sciences grew most.
Last year, nearly 3,000 new organizations joined the ranks of existing customers at more than 83,000 sites worldwide. Customers around the globe, including the Boston Bruins, Finnish railway VR Group, Imperial College London, Pennsylvania Patient Safety Authority, Ireland/UK-based financial group AIB, and New Orleans health clinic CrescentCare, recognize the value of SAS Analytics.
To meet customer demand in 2016, SAS opened new customer-facing facilities in Dublin and Paris, and a Detroit office to support growth in auto manufacturing. A new office tower is under construction at SAS' Cary, NC, headquarters.
2016 growth drivers
The explosive growth of data has driven a proliferation of data management and analytics within enterprises. To realize the full value of their data, organizations look to SAS to help drive insights from data that inform decisions and operations. Forrester defines this capability as an enterprise insight platform suite, an integrated or partially integrated suite of data management, analytics and insight execution. Forrester named SAS the sole leader for enterprise insight platform suites in its Q4 2016 report, stating that SAS offers "best-in-class analytics coupled with a breadth of good data management for streaming, virtualization and master data management" along with "a balance between strength of current offering and a platform strategy."1
Forrester added that organizations "looking to simplify their heterogeneous data management and analytics architecture should consider embracing SAS® Viya™ as an enterprise insight platform as more of it rolls out in 2017."
New software sales in analytics, data management and foundation tools grew by 8 percent, representing more than half of total new revenue in 2016.
Additionally, the cloud continues to contribute to SAS growth, with associated revenue rising 9 percent due to market demand for cost-effective, convenient and secure methods for accessing SAS solutions. SAS continues to find new ways for clients to access its solutions and expertise through offerings like SAS Cloud Analytics and results-as-a-service (RaaS). RaaS, which experienced a dramatic increase last year, will continue to grow in 2017 as customers see a rapid return on investment and the ability to tap into SAS' advanced analytic solutions and talent base without having to incur the cost of building their own internal teams.
Among SAS business solutions, fraud and security intelligence grew by 36 percent as organizations faced the imperative of fighting fraud and financial crimes and addressing regulatory compliance in areas such as anti-money laundering.
SAS partners influenced nearly a third of new sales. SAS' strong channel program of systems integrators. resellers, OEMs and managed analytic services providers focused on helping customers implement SAS technology in ways that best fit their individual needs and those of their own customers.
Continuous innovation
Analysts named SAS a leader in predictive and advanced analytics, customer intelligence, data management, data integration and data quality. According to IDC, SAS holds a 31.6 percent share of the advanced and predictive analytics market.2 SAS has also been recognized by industry analysts as a leader in fraud detection, risk and retail analytics.
Maintaining this leadership is heavily dependent upon innovation. Year after year, SAS reinvests about twice the average of major technology firms into R&D – 26 percent in 2016. This unwavering commitment to innovation is behind the ground-breaking new SAS Viya technology – dubbed by analysts as changing the industry. SAS continues to introduce new innovation around this open and cloud-ready high-performance analytics and visualization platform – most recently with SAS Visual Investigator, which marries advanced analytics with dynamic and interactive visual workspaces. With it, organizations can identify, investigate and govern the entire life cycle of an investigation, search or inquiry. SAS plans to introduce even more to the SAS Viya family in the first quarter of 2017.
Looking further ahead in 2017, SAS will continue innovation in its core focus areas, including analytics, visualization, data management, customer intelligence, risk and fraud. Additionally, SAS Viya, artificial intelligence, cloud and IoT will be strong investment areas for SAS.
Making analytics accessible to all
Recently, Money magazine called SAS Analytics "the most valuable job skill." To bridge a persisting analytics skills gap, SAS makes it easy to build those skills. SAS University Edition provides free access to SAS software so anyone can learn how to analyze data. Thousands of professors, students and researchers take advantage of free, cloud-based SAS OnDemand for Academics. Downloads and registrations of these two products have reached more than 900,000. Free e-learning resources and online tutorials help users get started in SAS. And, for young students learning to code, SAS recently introduced the free CodeSnaps app.
SAS' deep bench of analytics solutions continue to improve the world by using data to solve issues around poverty, health, human rights and education. From helping Arizona public health officials fight heat-related illnesses to predicting the risk of suicide among Canadian youth, SAS Analytics changes people's lives.
About SAS
SAS is the leader in analytics. Through innovative analytics, business intelligence and data management software and services, SAS helps customers at more than 83,000 sites make better decisions faster. Since 1976, SAS has been giving customers around the world THE POWER TO KNOW®.
SAS and all other SAS Institute Inc. product or service names are registered trademarks or trademarks of SAS Institute Inc. in the USA and other countries. ® indicates USA registration. Other brand and product names are trademarks of their respective companies. Copyright © 2017 SAS Institute Inc. All rights reserved.
1 "The Forrester Wave™: Enterprise Insight Platform Suites, Q4 2016.
2 IDC's Worldwide Business Intelligence and Analytics Tools Software Market Shares, 2015: It's Still About Self-Service.
SOURCE SAS Institute
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